In recent years, states have faced budget deficits and are looking for ways to raise revenue without increasing taxes. One way to do this is to improve the enforcement of tax laws that are already on the books. Because of the improved enforcement, many companies are starting to receive penalties for requirements they didn’t know […]
Several industry trade groups, including the American Bankers Association (ABA), Mortgage Bankers Association (MBA), Housing Policy Council of the Financial Services Roundtable and Consumer Mortgage Coalition, sent a letter to the Senate Finance Committee requesting flexibility in regard to proposed new rules for Form 1098, Mortgage Interest Statement. These new instructions will require that additional information […]
During a public meeting held June 24, the Electronic Tax Administration Advisory Committee (ETAAC) presented its 2014 Annual Report to Congress, which detailed various observations and recommendations. Among these suggestions were five key areas that can be improved. The 11-person committee was first created in 1998 as part of the IRS Restructuring and Reform Act of 1998. […]
Indirect Tax Laws for Pharmaceutical Drugs are Complex In order to promote good health via public policy, many states apply a variety of sales tax exemptions to sales of prescription drugs. However, some states limit this exemption by excluding over-the-counter (OTC) prescription drugs or by applying strict regulations as to what is a drug and […]
In an effort to combat the often devastating effect of unnecessary litter and protect clean waterways and wildlife, several localities around the state of Washington have turned to plastic bag bans and fees on single use paper bags to encourage the use of reusable shopping bags. The majority of Washington localities with single use bag […]
Tax information reporting under the Affordable Care Act (ACA) is understandably confusing. There are new obligations, and many internal stakeholders within an organization could be seen as responsible for some part of the ACA reporting process. There are a lot of new forms that need to be processed and mailed. Some of these forms include […]
While most of us have been watching with close interest the events that have been unfolding in the Ukraine over the past few months, Taxware has been paying particularly close attention to the potential indirect tax ramifications of the shifting political landscape. The changes for taxpayers located in the region of Crimea and in the […]
State reporting can be an arduous task. Each state has an ‘Employer Withholding Guide’ (or a similar framework for instructions) that provides information regarding payment and reporting of the withholding tax which is unique to that state. The challenges of state reporting can be boiled down to the following premise: the information detailed in state […]
Tax information reporting under the Affordable Care Act (ACA) requires that insurance providers and large employers with 50 or more full-time employees report to the IRS on their health coverage offerings for their members and employees. Some of these companies are experiencing confusion regarding when reporting is necessary – and many are scrambling to determine which internal department will […]
How to Calculate Tax on a Lease Most people are familiar with leasing a car, but did you also know you can lease an airplane, a copier, or a computer? Leasing is commonly defined as an agreement between a lessor and a lessee, where the lessor conveys the right to use an asset for an […]
Tax reporting for large employers under the Affordable Care Act (ACA) enforces Internal Revenue Code (IRC) 4980H, the employer mandate of the health care law. According to Bloomberg BNA, Stephen Tackney, IRS deputy associate chief counsel of employee benefits, says that many are wondering why so much reporting is necessary. “We still get questions why all […]
One of the most common sales tax questions, heard over and over from businesses providing products and services in Illinois is – What is this 8% tax in Chicago? That 8% tax is the Chicago Personal Property Lease Transaction Tax. The tax applies to personal property leases or rentals in Chicago, or to personal property […]
The Affordable Care Act (ACA) will present many challenges for businesses due to the new tax information reporting responsibilities. Some have pondered whether insurance companies will provide ACA reporting services to these businesses, especially for their self-insured clients. Self-insured companies will be reporting as both insurers and employers. Therefore, they will be required to do […]
Several companies are vying for one of the first casino licenses to be made available in Massachusetts. Two of the competitors, Las Vegas-based Wynn and MGM, are appealing to legislators to amend the state’s income tax laws, which according to Wynn and MGM, will be bad for business. According to The Associated Press, the two […]
Last year, Governor Butch Otter signed a bill that was intended to exempt cloud computing services. The Idaho Tax Commission narrowly interpreted the legislation, which effectively taxed many types of software services. Otter did not believe this followed the intent of the legislation, so earlier this month he
Among the businesses to have new tax information reporting responsibilities under the Affordable Care Act (ACA), insurers could be faced with a broad range of new challenges. Given their status as both insurers and employers, their reporting obligations are two-fold. Internal Revenue Code (IRC) 6055 and 6056 establish the new information reporting responsibilities for ACA. […]
Businesses are a major revenue source for taxing authorities in the U.S. and around the world, and the taxability issues are particularly tricky. Sales and use tax changes have a tremendous impact on every business’ ability to remain compliant with every jurisdiction; and rules are being added and changed every day. Download our Infographic to learn more about those […]
Reading is unquestionably fundamental, but the taxation of reading material is anything but that. Organizations that sell publications (newspapers, magazines, books, and alike) face a variety of taxation challenges both domestically and internationally. Those challenges are only growing as we continue to move into the electronic age where print media yields to its digital equivalent. […]